Einhorn Recommends Selling Green Mountain Short
Einhorn, head of Greenlight Capital Inc., also said at the Value Investing Congress in New York today that Green Mountain’s capital expenditures remain inexplicable.
Einhorn has criticized Green Mountain since at least October 2011, when he said the company needs to improve its disclosure and had a “litany of accounting questions.”
Short selling refers to the practice of borrowing stock and selling it, with the goal of profiting by repurchasing the shares later at a lower price.
The shares rose 0.5 percent to $23.43 at 11:05 a.m. after earlier dropping as much as 5.6 percent. The Waterbury, Vermont- based company had declined 48 percent this year through yesterday.
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